Financial Statment An

Project Repo

"United Bre

Submitted to:

Professor Sudha Balajee

Faculty at NMIMS,
Bengaluru Campus
Submitted to:

Professor Sudha Balajee

Faculty at NMIMS,
Bengaluru Campus
ment Analysis & Business Val

ect Report Ratio Analysis

on
ited Breweries Pvt. Ltd."

Submitted by:

Daksh Agarwal
Sap id: 7405210
Course: B.Sc. Fin
Submitted by:

Daksh Agarwal
Sap id: 7405210
Course: B.Sc. Fin
ness Valuation

ysis

td."

Submitted by:

Daksh Agarwal
Sap id: 74052100180
Course: B.Sc. Finance
Submitted by:

Daksh Agarwal
Sap id: 74052100180
Course: B.Sc. Finance
BALANCE SHEET OF UNITED BREWERIES (in Rs. Cr.)

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS
Equity Share Capital
TOTAL SHARE CAPITAL
Reserves and Surplus
TOTAL RESERVES AND SURPLUS
TOTAL SHAREHOLDERS FUNDS

LIABILITIES
NON-CURRENT LIABILITIES
Long Term Borrowings
Deferred Tax Liabilities [Net]
Other Long Term Liabilities
Long Term Provisions
TOTAL NON-CURRENT LIABILITIES
CURRENT LIABILITIES
Short Term Borrowings
Trade Payables
Other Current Liabilities
Short Term Provisions
TOTAL CURRENT LIABILITIES
TOTAL CAPITAL AND LIABILITIES

ASSETS
NON-CURRENT ASSETS
Tangible Assets
Intangible Assets
Capital Work-In-Progress
Other Assets
FIXED ASSETS
Non-Current Investments
Deferred Tax Assets [Net]
Long Term Loans And Advances
Other Non-Current Assets
TOTAL NON-CURRENT ASSETS

CURRENT ASSETS
Current Investments
Inventories
Trade Receivables
Cash And Cash Equivalents
Short Term Loans And Advances
OtherCurrentAssets
TOTAL CURRENT ASSETS

TOTAL ASSETS
 Balance Sheet of United Breweries Limited

Mar-23 Mar-22 Mar-21

12 mths 12 mths 12 mths

26.44 26.44 26.44

26.44 26.44 26.44
3934.82 3,905.57 3,553.18
3934.82 3,905.57 3,553.18
3961.26 3,932.01 3,579.62

0.00 0 107.5
0.00 0 0
29.19 31.03 18.83
4.17 4.41 1.6
33.36 35.44 127.93

0.00 0 142.67
716.39 637.69 629.04
1458.23 1,233.43 1,274.27
 101.99 102.14 91
2276.61 1,973.26 2,136.98
6271.23 5,940.71 5,844.53

1830.89 1,888.38 1,921.06

12.23 16.38 20.98
77.08 109.89 127.99
0.00 0 0
1920.20 2,014.65 2,070.03
15.70 16 13.71
44.96 38.43 34.92
0.00 0 0
606.39 496.24 404.48
2587.25 2,565.32 2,523.14

0.00 0 0
1425.97 934.41 1,135.29
1407.07 1,254.50 1,394.82
394.95 907.74 468.05
0.00 0 0
455.99 278.74 323.23
3683.98 3,375.39 3,321.39

6271.23 5,940.71 5,844.53

eries Limited

Mar-20
12 mths

26.44
26.44
3,491.53
3,491.53
3,517.97

8.9
0
11.31
16.58
36.79

160.15
544.63
1,194.44
 89.78
1,989.00
5,543.76

1,876.82
23.93
199.12
0
2,099.87
25.68
27.71
0
435.48
2,588.74

0
1,092.29
1,349.77
73.31
0
439.65
2,955.02

5,543.76
PROFIT & LOSS ACCOUNT OF UNITED BREWERIES (in Rs. Cr.)

INCOME
REVENUE FROM OPERATIONS [GROSS]
Less: Excise/Sevice Tax/Other Levies
REVENUE FROM OPERATIONS [NET]
TOTAL OPERATING REVENUES
Other Income
TOTAL REVENUE
EXPENSES
Cost Of Materials Consumed
Purchase Of Stock-In Trade
Operating And Direct Expenses
Changes In Inventories Of FG,WIP And Stock-In Trade
Employee Benefit Expenses
Finance Costs
Depreciation And Amortisation Expenses
Other Expenses
TOTAL EXPENSES
PROFIT/LOSS BEFORE EXCEPTIONAL, EXTRAORDINARY ITEMS AND TAX
Exceptional Items
PROFIT/LOSS BEFORE TAX
TAX EXPENSES-CONTINUED OPERATIONS
Current Tax
Less: MAT Credit Entitlement
Deferred Tax
Tax For Earlier Years
TOTAL TAX EXPENSES
PROFIT/LOSS AFTER TAX AND BEFORE EXTRAORDINARY ITEMS
PROFIT/LOSS FROM CONTINUING OPERATIONS
PROFIT/LOSS FOR THE PERIOD
OTHER ADDITIONAL INFORMATION
EARNINGS PER SHARE
Basic EPS (Rs.)
Diluted EPS (Rs.)
 Profit & Loss Account of United Breweries Limit

Mar-23 Mar-22 Mar-21

12 mths 12 mths 12 mths

16,474.72 12,884.93 9,999.35

9,151.17 7,285.48 5,942.67
7,323.55 5,599.45 4,056.68
7,491.71 5,831.93 4,240.73
49.27 29.66 50.2
7,540.98 5,861.59 4,290.93

4,233.21 2,713.94 1,972.56

92.47 195.82 73.71
0 0 0
-51.4 22.89 -9.95
591.44 519.36 482.29
4.64 14.78 22.67
210.32 216.91 231.85
2,011.73 1,685.00 1,342.62
7,092.41 5,368.70 4,115.75
448.57 492.89 175.18
-33.12 0 -7.22
415.45 492.89 167.96

119.67 131.59 67.33

0 0 0
-7.68 -3.71 -12.22
0 0 0
111.99 127.88 55.11
303.46 365.01 112.85
303.46 365.01 112.85
303.46 365.01 112.85

11.48 13.81 4.27

11.48 13.81 4.27
eweries Limited

Mar-20
12 mths

14,397.72
8,141.91
6,255.81
6,504.55
9.11
6,513.66

2,974.86
194.97
0
-9.55
499.77
31.12
284.97
1,970.10
5,946.24
567.42
0
567.42

175.5
0
-35.31
0
140.19
427.23
427.23
427.23

16.16
16.16
CASH FLOW OF UNITED BREWERIES (in Rs. Cr.)

NET PROFIT/LOSS BEFORE EXTRAORDINARY ITEMS AND TAX

Net CashFlow From Operating Activities
Net Cash Used In Investing Activities
Net Cash Used From Financing Activities
Foreign Exchange Gains / Losses
Adjustments On Amalgamation Merger Demerger Others
NET INC/DEC IN CASH AND CASH EQUIVALENTS
Cash And Cash Equivalents Begin of Year
Cash Flow Stament of United Breweries Limited

Mar-23 Mar-22 Mar-21 Mar-20 Mar-19

12 mths 12 mths 12 mths 12 mths 12 mths
415.45 492.89 167.96 567.42 878.48
-120.65 899.07 619.17 506.62 644.38
-120.45 -159.66 -150.59 -401.73 -429.7
-291.76 -286.43 -88.17 -94.88 -198.01
0 0 0 0 0
0 0 0 0 0
-532.86 452.98 380.41 10.01 16.67
862.38 409.4 28.99 18.98 2.31
S. No. Name of the Ratio Formula

Liquidity Ratios

Current Assets
1 Current Ratio
Current Liability

Quick Ratio/Acid- Quick Assets

2 Test Ratio Quick Liability

Solvency Ratios

Debt
1 Debt - Equity Ratio
Equity

Debt - Total Assest Debt

2 Ratio Total Assets
 Coverage Ratios

Debt - Service EBITDA - Tax

1
Coverage Ratio Repayment Obligation

EBIT
Interest - Service
2 Coverage Ratio Interest

Profitability Ratios

Gross Profit
1 Gross Profit Ratio Sales

PAT
2 Net Profit Ratio
Sales

Operating Profit EBIT

3 Ratio Sales

Return on Asset PAT

4 Ratio Avg Total Assets

Return on EBIT
5
Investment Total Funds

Net Profit
6 Return on Equity
Equity Share Holders Fund
 EBIT
Return on Capital Capital Employed
7
Employed

Turnover ratios

Inventory COGS
1 Turnover Ratio Average Inventory

Inventory Holding 365/12/52

2
Period Inventory Turnover Ratio

Debtors Turnover Credit Sales

3 Ratio Average Debtors

Debtors Collecting 365/12/52

4 Period Debtors Turnover Ratio

Creditors Turnover Credit Purchases

5 Ratio Average Creditors

Creditors Payment 365/12/52

6 Period Creditors Turnover Ratio

7 Operating Cycle ITR + DTR - CTR

 Investment Ratios

Retained Earnings
1 Earnings Per Share
No. of Equity Shares

Market Price Per Share

2 Price Earning Ratio
Earnings Per Share

DU Pont Analysis

ROE = Net profit margin x A

1 DU Pont 3 Factor Multipli

1 DU Pont 5 Factor ROE = ( Tax Burden ) x ( Interest

x ( Asset Turnover ) x (

Working Notes:
Particulars Formula
Net income
1 Profit Margin
Revenue

Revenue
2 Asset Turnover
Avg Total Assets

Avg total assets

3 Equity Multiplier
Avg shareholders equity
 Net Profit
4 Tax burden
EBT

EBT
5 Interest Burden
EBIT

EBIT
6 EBIT Margin
Sales
 Ratio Analy
Notes to Formulas Mar-23
Values

3683.98
2276.61

Quick Asset = Current 2258.01

Asset - Inventory -
Prepaid Expenses 2276.61

Debt = Current Liability + 2309.97

Non-Current Liability
3961.26

2309.97
6271.23
 EBIDTA = EBIT + 546.90
Depriciation and
Ammortisation - Tax 5

448.57
5

Gross Profit = Revenue COGS = 4,377.08

x 100 from Operations - COGS
COGS = Raw Material Gross Profit
+ WIP + Purchase of Stock
2,946.47
in Trade Sales 7,323.55

303.46
x 100
7,323.55

448.57
x 100
7,323.55

303.46
x 100
6105.97

448.57
x 100
8581.20

303.46
x 100
3961.26
 Capital Emplyed = Total 3994.62
x 100 Assets - Current
Liabilities 448.57

COGS = Raw Material + 4,377.08

WIP + Purchase of Stock
in Trade 1180.19

365
3.71

7,323.55
1330.78

365
5.50

4,377.08
677.04

365
6.47
 1529
11.48

profit margin x Asset turnover x Equity

Multiplier

den ) x ( Interest Burden ) x ( EBIT Margin )

et Turnover ) x ( Equity Multiplier )

2023 2022 2021

0.04 0.07 0.03

1.20 0.95 0.71

1.55 1.57 1.60

0.68 0.74 0.64

1.08 1.00 1.04

0.10 0.18 0.09

atio Analysis of United Breweri
Values
Mar-23 Mar-22
Answer Values Answer

3375.39
1.62 1.71
1973.26

2440.98
0.99 1.24
1973.26

2008.70
0.58 0.51
3932.01

2008.70
0.37 0.34
5940.71
 581.92
117.87 39.37
15

492.89
96.67 33.35
15

2,886.87
40.23 2,712.58 48.44
5,599.45

365.01
4.14 6.52
5,599.45

492.89
6.13 8.80
5,599.45

365.01
4.97 6.19
5892.62

492.89
5.23 6.20
7949.41

365.01
7.66 9.28
3932.01
 3967.45
890.52 804.94
492.89

2,886.87
3.71 2.79
1034.85

365
98.41 130.84
2.79

5,599.45
5.50 4.23
1324.66

365
66.33 86.35
4.23

2,886.87
6.47 4.56
633.37

365
56.46 80.08
4.56

2.75 2.46
11.48 13.81

1529
133.19 110.72
13.81

0.0769 0.0972

0.1330 0.2005
reweries Limited
Remarks
Mar-21
Interpretation/ Suggesti
Values Answer

3321.39 The company's current ratio improved an

during FY22, from 1.6x during FY21. The
1.55 measures the company's ability to pay sh
2136.98 long-term obligations.

2186.10 Quick Ratio Annual is falling fast

1.02 historical averages.
2136.98

2264.91 The company's debt-to-equity ratios have been

0.63 three years.The trend of decreasing debt-to-equ
3579.62

2264.91 The company's Debt - Total Asset Ratios for all t

0.39 exceptionally high, indicating an extremely stro
5844.53 its debt
 351.92 Such high DSCR values are often considered qui
15.52 reflect a low financial risk associated with debt
23

175.18 The company's interest coverage ratio improve

7.73 during FY22, from 8.5x during FY21. The interes
23 company states how easily a company can pay i
on outstanding debt. A higher ratio is preferable

2,056.22
The gross profit margins for
2,000.46 49.31 years are consistently at hea
4,056.68

112.85 The net profit margins for all three years

2.78 reasonable range and suggest consistent
4,056.68

175.18 The company's operating cycle or ratio fo

4.32 is relatively short, which is a positive sign
4,056.68

112.85 The ROA of the company improved and stood a

1.98 from 2.3% during FY21. The ROA measures how
5694.145 company uses its assets to generate earnings.

175.18 The Return on Investment (ROI) has displayed a

2.16 downward trend over the three years
8109.44

112.85 The ROE for the company improved and stood at 9.

3.15 3.2% during FY22. The ROE measures the ability of a
3579.62 profits from its shareholders capital in the company
3707.55
2116.42 The ROCE for the company improved and
175.18 during FY22, from 5.2% during FY21. The
the ability of a firm to generate profits fr
capital (shareholder capital plus debt cap
the company.

2,056.22 The inventory turnover ratios for all three years

1.85 increasing, indicating high turnover of inventory
1113.79

365 The inventory holding periods for all thre

197.71 short, suggesting high turnover of invent
1.85

4,056.68 The debtors turnover ratios for all three years s

2.96 management of accounts receivable and effecti
1372.30 payments from customers.

365 The debtors collection periods for all three year

123.47 indicating effective management of accounts re
2.96

2,056.22 The creditors turnover ratios for all three years

3.50 company is not efficiently managing its account
586.84

365 The creditors payment periods for all three yea

104.17 company takes a considerable amount of time t
3.50 after purchasing goods or services.

The operating cycle is consisten

1.30 increasing over the years
 There are high fluctuations in the ea
4.27 share over the time frame of 3 year

1529 The Price-Earnings (P/E) ratios f

4.27 years are relatively high.

0.0318

0.0654
 Remarks

erpretation/ Suggestion

urrent ratio improved and stood at 1.7x

m 1.6x during FY21. The current ratio
mpany's ability to pay short-term and
tions.

nnual is falling faster than

rages.

-to-equity ratios have been declining over the

d of decreasing debt-to-equity ratios

- Total Asset Ratios for all three years are

ndicating an extremely strong ability to service
es are often considered quite favorable and
al risk associated with debt repayment.

est coverage ratio improved and stood at 34.5x

5x during FY21. The interest coverage ratio of a
easily a company can pay its interest expense
. A higher ratio is preferable.

ofit margins for all three

nsistently at healthy levels.

rgins for all three years are within a

and suggest consistent profitability.

perating cycle or ratio for all three years

which is a positive sign.

pany improved and stood at 6.3% during FY22,

21. The ROA measures how efficiently the
ets to generate earnings.

tment (ROI) has displayed an upward as well as

er the three years

any improved and stood at 9.3% during FY22, from

ROE measures the ability of a firm to generate
olders capital in the company.
 company improved and stood at 12.9%
m 5.2% during FY21. The ROCE measures
m to generate profits from its total
der capital plus debt capital) employed in

ver ratios for all three years are consistently

g high turnover of inventory.

ding periods for all three years are quite

high turnover of inventory.

r ratios for all three years suggest efficient

ounts receivable and effective collection of
omers.

on periods for all three years are relatively short,

management of accounts receivable.

er ratios for all three years indicate that the

ently managing its accounts payable turnover.

nt periods for all three years suggest that the

nsiderable amount of time to pay its suppliers
ds or services.

g cycle is consistent and

er the years
fluctuations in the earnngs per
time frame of 3 years

nings (P/E) ratios for all three

tively high.